Saturday, March 21, 2009

Astrology of increasing public debt

At certain times in US history, the debt of the government has increased sharply. Such a development is of a major importance to tax payers. When the government accumulates debts, tax payers must prepare to foot the bill through either higher taxes or inflation or reduced government services or transfers. Otherwise, the debts may become unsustainable. In the SAMVA USA chart, the astrological reasons, in terms of transit and period influences, of such adverse debt development are readily explained.

A number of times in US history the public debt has surged in relation to the total incomes of the country (equal to the Gross Domestic Product, or GDP). In the past 150 years, the public debt in the USA has been found to be the result of many things, but fundamentally it has been the result of growing public budget deficits. In turn, the deficits have most often been seen to be less the result of massive increases in government spending and having more to do with a shortfall in tax receipts during wartime or severe recessions.[1] However, at certain times, such as in World War II and today, government expenditure is growing rapidly, contributing the larger share of the deficit.In the first half of the 1940s, the public debt rose from around 50% of GDP to over 120% of GDP, a historic peak. During the post war boom, the debt steadily declined.

The 1943 debt shockThe largest increase in US public debt took place during the major period of Jupiter as 6th lord of debts and conflict, which ran from 1937 to 1953. At that time, the US was engaged in a major world war and following its conclusion, it entered a Cold War with Communist countries and also participated in a war on the Korean peninsula. The debts of the government rose sharply during WW II, especially from 1942 to 1945. At that time, the Mercury and Ketu sub-periods were operating. Interestingly, the transits were highly adverse, involving all the functional malefics in the chart. However, the most notable affliction involved transit Jupiter at 24° Cancer being opposite natal Sun at 24° Capricorn. The aspect took place briefly in late 1943, when the nodes were also stationary afflicting the natal Sun, and for a longer time in the spring of 1944 when Jupiter became stationary on that degree.

New US debt shockIn 2009, the debt of the US Treasury is again reported to be surging. Following the sharp reduction of US housing prices and widespread defaults on risky mortgage loans, most US financial institutions have collapsed and the US government has had to sharply increase expenditure to prevent the collapse of the US financial system and an implosion of the economic system. At the same time, an economic recession is underway, which will result in a sharp contraction of tax receipts. The net effect of all this is ballooning deficits and surging debt levels.

US Debt on a sharply rising trendAt this time, when transit Jupiter is at 23° Capricorn, the news are brimming with stories about new estimates showing a stunning rise in US public debt in coming years.

Obama budget projected at $9.3 trillion in next 10 yearsMarch 20, 2009WASHINGTON (IHT): President Barack Obama's budget proposals, if carried out, would produce a staggering $9.3 trillion in total deficits over the next decade, much more than the White House has predicted, the Congressional Budget Office said on Friday. The office's estimates of deficits in the fiscal years 2010 through 2019 "exceed those anticipated by the administration by $2.3 trillion." The deficits under the Obama plan would be $4.9 trillion more than the projected deficits if there were no changes in current laws and policies — what the nonpartisan budget office calls its baseline assumption.[2]

The 2009 debt shockFrom 1996 to 2016 the Venus major period is operating in the SAMVA USA chart. During this period, housing debts and participation in wars are expected to become problems and to undermine communal harmony. This is because Venus is 4th lord of housing and communal harmony in the chart and its bad placement of the 6th house of debts and conflict. In 2008 and into early 2009, when the Jupiter sub-period was operating, the transits became quite difficult, setting the stage for major problems in this regard. The Saturn sub-period is now operating and in the autumn of 2009 transit Jupiter at 24° Capricorn will again become stationary and closely afflict the natal Sun at 24° Capricorn, just as it did in 1943 and 1944. In the autumn of 2009, US government debt is likely to register further increases and may reach high levels, albeit not as high as during the 1940s.